For this week's update, we've gone through and analyzed sales data from the past four years. Our goal? To understand historical sales patterns and identify current trends, especially concerning the types of homes selling and their price points. The real estate market just like any market has cycles of ups and downs. Notably, this past year has seen a significant shift. With the rise in interest rates, the cost of homeownership has surged substantially. Despite the market's fluctuations, one thing remains constant: transactions occur daily. People will always need homes, and while the market's nature may change, this fundamental need persists. A glance at 2023's market reveals some intriguing patterns. Here's a breakdown:
Single Family Homes: They've dominated the market, making up 43% of sales.
Apartments: Accounting for 32%.
Townhomes: Representing 13% of sales.
Interestingly, these percentages align with the distribution of home types sold in previous years. Despite lower transactions this year so far, the buyers habits haven’t drastically changed.
Now, looking at the pocket book and the price ranges that have sold. With the uptick in interest rates in 2023, the $700-800k price range has been particularly active, accounting for 12% of this year's sales. This is on par with the $400-500k range, which represents 12% of sales. But as you can see below the there really is no huge spread, they are all pretty evenly split.
From the data, it's evident that the percentages of price ranges selling in 2023, despite the higher costs, remain consistent with the trends from the past four years. Interestingly, there's a subtle uptick in sales of high-end properties. While the overall number of sales might be fewer, there's been an approximate 1% increase in sales for properties priced between $700K to $1.5M. This can be attributed to rising home prices, resulting in more homes meeting the criteria for higher price ranges, underscoring the resilience of the premium market segment.
With the shift in the real estate market is making it more and more important to plan ahead. Ready for a Personalized Market Analysis? Whether you're thinking of buying, selling, or just curious about where the market's headed, we're here for you. Reach out to us for a tailored consultation and let's navigate the real estate landscape together. Have a great week! Mark and Maddie